The House republicans submitted the GOP budget plan for the coming fiscal year this past week and there are some familiar proposals hidden in there that might not appear at first sight. Every fiscal year, the members come up with a plan to operate during the next fiscal year and this year, they have drafted and sent in their proposal already.
THE GOP BUDGET MIGHT CHANGE BENEFITS:
There are 3 notions that are talked about in this article that might intrigue the federal employees more than most. They might find their pays and retirement benefits to get changed in the recent future. Here are those 3 clauses:
1. TSP’s G fund cut by the interest rate:
There aren’t many details that aren’t vividly mentioned in the proposal but we do know that the way the Thrift Investment board for the retirees makes the average interest rate calculation is going to get altered. The proposal said,
“The resolution assumes savings by correctly aligning the rate of return on U.S. Treasury securities within the Federal Employee Retirement System’s Thrift Savings Plan with its investment risk profile”
2. Reform the civil service pensions:
House republicans have once again made the suggestion that the Congressional members, their staff and the federal employees make substantial contribution to their pre-defined retirement benefit plans. The budget resolution has made the recommendation of adapting the retirement contribution plans that are very prevalent in the private sector while citing a proposal that the President released regarding National Commission on Fiscal Responsibility.
3. Enough with the much talked about SS retirement supplement:
The budget proposal has also proposed an end to the retirement supplement of the social security which contemporarily gives the federal employees who retire early the capability to avail the similar benefits until they become ineligible for social security.
